TNAG-1491-FCO40-2049-Future-of-Hong-Kong-General-Agreement-on-Tariffs-and-Trade-(-1986 — Page 206

нын

HAK 040/2

RECEN

15 JAN 1986

GRS 200

(NEUTRAL)

UNCLASSIFIED

FM PEKING

TO PRIORITY FCO

TELNO 077

OF 150019Z JANUARY 86

INI

M

TRY

laken

INFO ROUTINE UKMIS GENEVA, UKREP BRUSSELS, WASHINGTON, BTC HONG KONG INFO ROUTINE HONG KONG

CHINA AND THE GATT

1. MR ARTHUR DUNKEL, DIRECTOR CENERAL OF THE GATT, WAS IN PEKING LAST WEEK AT THE INVITATION OF ZHENG TUORIN, MINISTER OF MOFERT, AND MET PREMIER ZHAO ZIYANG AND FOREIGN MINISTER WU XUEQIAN.

2. ACCORDING TO XINHUA, ZHAO ZIYANG TOLD DUNKEL ON 10 JANUARY THAT CHINA HOPED TO RESUME ITS MEMBERSHIP IN THE GATT. THIS FOLLOWED CHINA'S POLICY OF OPENING TO THE OUTSIDE WORLD. ZHAO THANKED DUNKEL AND THE GATT SECRETARIAT FOR THEIR EFFORTS TO PROMOTE THE RESUMPTION OF CHIN'S GATT MEMBERSHIP. HE SAID THAT CHINA'S OPEN POLICY COULD NOT BE REVERSED AND THAT RESTORATION CHINA'S MEMBERSHIP WOULD LEAD TO EXPANDED IMPORTS AS WELL AS EXPORTS. CHINA'S ECONOMIC REFORMS WOULD REDUCE DIFFERENCES BETWEEN CHINA AND MOST OTHER GATT MEMBERS IN PRICES, CURRENCY VALUES, AND FOREIGN TRADE SYSTEMS AND

PRACTICES.

3. WU XUEQIAN TOLD DUNKEL ON 11 JANUARY THAT CHINA WAS NOW KEEN TO RESUME ITS MEMPERSHIP. AFTER RESUMING ITS MEMBERSHIP CHINA WOULD CONTINUE TO DEVELOP TRADE WITH ALL MEMBER COUNTRIES ON THE

RASIS OF EQUALITY AND MUTUAL BENEFIT.

4. NO DOUBT DUNKEL WILL PE BRIEFING THE GATT MEMBERSHIP ABOUT HIS

TALKS IN DUE COURSE.

EVANS

INTERNATIONAL TRADE ECD (E)

FED

REPEATED AS REQUESTED

24,